We propose a novel methodology to uncover the sorting pattern in the labor market. Our methodology exploits the additional information contained in profits, which complements the information from wages and transitions typically used in previous work. We identify the strength of sorting solely...

We propose a novel methodology to uncover the sorting pattern in the labor market. Our methodology exploits the additional information contained in profits, which complements the information from wages and transitions typically used in previous work. We identify the strength of sorting solely...

We propose a novel methodology to uncover the sorting pattern in the labor market. Our methodology exploits the additional information contained in profits, which complements the information from wages and transitions typically used in previous work. We identify the strength of sorting solely...

We propose a novel methodology to uncover the sorting pattern in labor markets. We identify the strength of sorting solely from a ranking of firms by profits. To discern the sign of sorting, we build a noisy ranking of workers from wage data. Our test for the sign of sorting is consistent even...